The adoption of the new revenue recognition standard impacted the revised consolidated statement of operations for the three months ended June 30, 2017 as follows:

	Three Months Ended June 30, 2017
	As Revised		Adoption of ASC 606			As Adjusted
Net sales	$	94,239,000	$	456,000		$	94,695,000
Cost of goods sold		69,224,000		(381,000	)		68,843,000
Gross profit		25,015,000		837,000			25,852,000
Operating expenses:
General and administrative		5,888,000		-			5,888,000
Sales and marketing		3,394,000		-			3,394,000
Research and development		1,002,000		-			1,002,000
Total operating expenses		10,284,000		-			10,284,000
Operating income		14,731,000		837,000			15,568,000
Interest expense, net		3,314,000		-			3,314,000
Income before income tax expense		11,417,000		837,000			12,254,000
Income tax expense		4,122,000		312,000			4,434,000
Net income	$	7,295,000	$	525,000		$	7,820,000
Basic net income per share	$	0.39	$	0.03		$	0.42
Diluted net income per share	$	0.38	$	0.03		$	0.40

The adoption of the new revenue recognition standard impacted the revised consolidated statements of operations for the three and six months ended September 30, 2017 as follows:

	Three Months Ended September 30, 2017							Six Months Ended September 30, 2017
	As Revised		Adoption of ASC 606			As Adjusted		As Revised		Adoption of ASC 606			As Adjusted

Net sales	$	110,853,000	$	(592,000	)	$	110,261,000	$	205,092,000	$	(136,000	)	$	204,956,000
Cost of goods sold		84,612,000		(378,000	)		84,234,000		153,836,000		(759,000	)		153,077,000
Gross profit		26,241,000		(214,000	)		26,027,000		51,256,000		623,000			51,879,000
Operating expenses:
General and administrative		8,615,000		-			8,615,000		14,503,000		-			14,503,000
Sales and marketing		3,457,000		-			3,457,000		6,851,000		-			6,851,000
Research and development		1,240,000		-			1,240,000		2,242,000		-			2,242,000
Total operating expenses		13,312,000		-			13,312,000		23,596,000		-			23,596,000
Operating income (loss)		12,929,000		(214,000	)		12,715,000		27,660,000		623,000			28,283,000
Interest expense, net		3,522,000		-			3,522,000		6,836,000		-			6,836,000
Income (loss) before income tax expense (benefit)		9,407,000		(214,000	)		9,193,000		20,824,000		623,000			21,447,000
Income tax expense (benefit)		3,684,000		(86,000	)		3,598,000		7,806,000		226,000			8,032,000
Net income (loss)	$	5,723,000	$	(128,000	)	$	5,595,000	$	13,018,000	$	397,000		$	13,415,000
Basic net income (loss) per share	$	0.31	$	(0.01	)	$	0.30	$	0.70	$	0.02		$	0.72
Diluted net income (loss) per share	$	0.30	$	(0.01	)	$	0.29	$	0.67	$	0.02		$	0.69

The adoption of the new revenue recognition standard impacted the revised consolidated balance sheet at March 31, 2018 as follows:

	March 31, 2018
	As Revised			Adoption of ASC 606			As Adjusted
ASSETS
Current assets:
Cash and cash equivalents	$	13,049,000		$	-		$	13,049,000
Short-term investments		2,828,000			-			2,828,000
Accounts receivable — net		15,738,000			47,436,000			63,174,000
Inventory— net		76,275,000			84,935,000			161,210,000
Inventory unreturned		7,508,000			-			7,508,000
Contract assets		-			23,206,000			23,206,000
Income tax receivable		7,972,000			-			7,972,000
Prepaid expenses and other current assets		15,104,000			(6,496,000	)		8,608,000
Total current assets		138,474,000			149,081,000			287,555,000
Plant and equipment — net		28,322,000			-			28,322,000
Long-term core inventory — net		298,294,000			(298,294,000	)		-
Long-term core inventory deposits		5,569,000			(5,569,000	)		-
Long-term deferred income taxes		6,937,000			(239,000	)		6,698,000
Long-term contract assets		-			222,731,000			222,731,000
Goodwill		2,551,000			-			2,551,000
Intangible assets — net		3,766,000			-			3,766,000
Other assets		21,995,000			(21,191,000	)		804,000
TOTAL ASSETS	$	505,908,000		$	46,519,000		$	552,427,000
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	73,273,000		$	-		$	73,273,000
Accrued liabilities		12,048,000			-			12,048,000
Customer finished goods returns accrual		17,805,000			-			17,805,000
Accrued core payment		16,536,000			(16,536,000	)		-
Contract liabilities		-			32,603,000			32,603,000
Revolving loan		54,000,000			-			54,000,000
Other current liabilities		4,471,000			-			4,471,000
Current portion of term loan		3,068,000			-			3,068,000
Total current liabilities		181,201,000			16,067,000			197,268,000
Term loan, less current portion		13,913,000			-			13,913,000
Long-term accrued core payment		18,473,000			(18,473,000	)		-
Long-term deferred income taxes		226,000			-			226,000
Long-term contract liabilities		-			48,183,000			48,183,000
Other liabilities		5,957,000			-			5,957,000
Total liabilities		219,770,000			45,777,000			265,547,000
Commitments and contingencies
Shareholders’ equity:
Preferred stock; par value $.01 per share, 5,000,000 shares authorized; none issued		-			-			-
Series A junior participating preferred stock; par value $.01 per share, 20,000 shares authorized; none issued		-			-			-
Common stock; par value $.01 per share, 50,000,000 shares authorized; 18,893,102 shares issued and outstanding at March 31, 2018		189,000			-			189,000
Additional paid-in capital		213,609,000			-			213,609,000
Retained earnings		77,768,000			742,000			78,510,000
Accumulated other comprehensive loss		(5,428,000	)		-			(5,428,000	)
Total shareholders’ equity		286,138,000			742,000			286,880,000
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$	505,908,000		$	46,519,000		$	552,427,000

The adoption of the new revenue recognition standard impacted the revised statement of cash flows for the three months ended June 30, 2017 as follows:

	Three Months Ended June 30, 2017
Cash flows from operating activities:	As Revised			Adoption of ASC 606			As Adjusted
Net income	$	7,295,000		$	525,000		$	7,820,000
Deferred income taxes		(103,000	)		312,000			209,000
Accounts receivable		16,038,000			(6,705,000	)		9,333,000
Inventory		(14,942,000	)		(3,552,000	)		(18,494,000	)
Other assets		1,432,000			(1,433,000	)		(1,000	)
Long-term core inventory		(2,878,000	)		2,878,000			-
Contract assets, net		-			1,726,000			1,726,000
Contract liabilities, net		-			3,172,000			3,172,000
Accrued core payments		(3,077,000	)		3,077,000			-
Net cash used in operating activities		(644,000	)		-			(644,000	)

The adoption of the new revenue recognition standard impacted the revised statement of cash flows for the six months ended September 30, 2017 as follows:

	Six Months Ended September 30, 2017
Cash flows from operating activities:	As Revised			Adoption of ASC 606			As Adjusted
Net income	$	13,018,000		$	397,000		$	13,415,000
Deferred income taxes		(433,000	)		226,000			(207,000	)
Accounts receivable		14,683,000			(11,864,000	)		2,819,000
Inventory		(18,718,000	)		(9,834,000	)		(28,552,000	)
Other assets		2,943,000			(2,963,000	)		(20,000	)
Long-term core inventory		(5,155,000	)		5,155,000			-
Contract assets, net		-			6,882,000			6,882,000
Contract liabilities, net		-			5,837,000			5,837,000
Accrued core payments		(6,164,000	)		6,164,000			-
Net cash used in operating activities	$	(8,148,000	)	$	-		$	(8,148,000	)